The PPP loan is not taxable. As such, you should not enter it on your tax return. It has no affect on your eligibility for a stimulus payment, so you may still be entitled to stimulus payments even if you received a PPP loan that was forgiven. It is not considered income with respect to the income limit on eligibility for stimulus payments.
You don't -- It is a loan. Even if a PPP loan is forgiven [you don't have to pay it back], it is not considered taxable income.
For more information on PPP Loan Forgiveness, please click on this link on the U.S. Small Business Administration website: PPP Loan Forgiveness
Can I deduct payroll cost that were paid for by a pop loan?
Yes, you are able to deduct payroll cost that was paid by a PPP loan.
Here is the IRS reference at the top of Page 2 in IRS wording: Deducting Payroll Costs for PPP Loans.
I'm an independent contractor and received a PPP loan. TurboTax tells me my income in 2020 makes me eligible for the individual stimulus checks (which I haven't received because my income was higher than the threshold in 2019, though not in 2020). Is it possible that I'm eligible for the stimulus check given that I already received a PPP loan? If I answer the TT questions correctly it insists that I do, but as a sole proprietor there's nowhere TT asks if I got a PPP loan so I'm not sure if I could technically get both.
The PPP loan is not taxable. As such, you should not enter it on your tax return. It has no affect on your eligibility for a stimulus payment, so you may still be entitled to stimulus payments even if you received a PPP loan that was forgiven. It is not considered income with respect to the income limit on eligibility for stimulus payments.